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Funding Resources
Funding Resources
| PA Alternative Energy Portfolio Standard | |
|---|---|
| Type of Incentive | Environmental Regulations |
| Eligible States | PA |
| Eligible Technology | Backpressure Turbine, Boiler, Combustion Turbine, Condensing Turbine, Extracting Turbine, Fuel Cell, Microturbine, Other, Reciprocating Engine, Heat Recovery Generator, Stirling Engine |
| Eligible Fuel | # 2 Fuel Oil, # 6 Fuel Oil, Biogas, Biomass, Coal, Hydrogen, LFG, Municipal Solid Waste, Natural Gas, Other, Tire-Derived Fuel, Waste heat Recovery |
| Eligible Project Size | All (MW) |
| Number of Awards |
|
| Size of Award | Pennsylvania's Alternative Energy Portfolio Standard (AEPS) was established in 2004 and amended in 2007. It requires load-serving energy companies to provide 18 percent of their electricity from alternative sources by 2020. The AEPS has two categories of technologies with separate target amounts, Tier I and Tier II. Both new and existing renewables are eligible as Tier I resources. Tier II resources include demand-side management and distributed generation systems, including CHP. In 2007/2008, 1.5 percent of electricity sold must come from Tier I sources and 4.2 percent from Tier II. The Tier I standard increases to 2 percent in 2008/2009 and 0.5 percent each year thereafter, to reach 8 percent of electricity from Tier I sources by 2020/2021. The Tier II standard increases 2 percent every five years to reach 6.2 percent in 2010/2011 and 8.2 percent in 2015/2016. An additional jump to 10 percent in Tier II resources by 2020/2021 is included as part of the standard. Tier I resources include: solar photovoltaic energy, solar thermal energy, wind, low-impact hydro, geothermal, biomass, biologically derived methane gas, coal mine methane, and fuel cells. Tier II resources include: waste coal, distributed generation (DG) systems, demand-side management, large-scale hydro, municipal solid waste, pulping process and wood manufacturing byproducts, and integrated combined coal gasification technology. Compliance is based on renewable energy credits (RECs), and banking of excess credits is allowed for up to two years. One credit is equal to one megawatt-hour (MWh) of renewable generation. RECs are the property of the renewable energy generator. Eligible resources may originate within Pennsylvania or within the PJM regional transmission organization (RTO), however, out-of-state resources located in the MISO may be used in areas served by MISO. Amendments to the Standard were enacted in 2007 and final rules implementing the amendments were effective in November 2008. |
| Start Date | 2/28/2005 |
| End Date |
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| Minimum Efficiency(%) |
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| Additional Information | The AEPS contains a force majeure clause under which the Pennsylvania Public Utilities Commission (PUC) can make a determination as to whether there are sufficient alternative energy resources in the market for utilities to meet their targets. If the PUC determines that utilities are unable to comply with the standard despite good faith efforts, the PUC may alter the obligation for a given year. It may then require higher obligations in subsequent years to compensate for shortfalls. |
| Web Site |
http://www.puc.state.pa.us/electric/electric_alt_energy.aspx  |
| Additional Web Site |
http://www.dsireusa.org/library/includes/ incentive2.cfm?Incentive_Code=PA06R&state=PA&CurrentPageID=1&RE=1&EE=1 |
| Primary Contact |
Calvin Birge 400 North Street Keystone Building Harrisburg17120, PA 17120 U.S.A. Calvin Birge (birge@state.pa.us) (717) 783-1555 (717) 787-5813 |